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Tag: Business Process

  • The Definition of Value Is Changing — What Entrepreneurs Need to Know | Entrepreneur

    The Definition of Value Is Changing — What Entrepreneurs Need to Know | Entrepreneur

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    Opinions expressed by Entrepreneur contributors are their own.

    Entrepreneurs have long worked hard to build their wealth and create dynasties by creating value in the marketplace and finding unique ways to solve problems. In recent years, however, the way entrepreneurs have been approaching this has shifted. Often, this involved allocating a percentage of their profits into savings accounts to act as a hedge for the well-being of their companies during a market downturn or a need for liquidity to meet payroll. Another method was to generate profits, raise your net worth, take a member draw and make your money work for you by putting it into real estate or stocks.

    However, the world is changing, and along with it, the idea of what is valuable is changing. Entrepreneurs need to understand this updated landscape to capitalize on these changes and continue building their multigenerational dynasties.

    Value has historically been defined by fiscal money, tangible assets (such as art, land and property) and other net worth-building components. However, the collective, modern mentality is changing what the term “value” means in today’s world.

    Related: The Key to Generating Maximum Value in Today’s Fast-Changing, Competitive Business Environment

    What people deem to be important today is shifting rapidly from what it was even 20 years ago. The laptop or digital nomad lifestyles are en vogue, and business owners have started investing earlier in other opportunities such as digital currency, other businesses and more flexible means of creating value.

    This is part of what has led to a shift in wealth distribution, with millennials and Gen Zers taking the lead for spending power, opening the interpretation of what is considered valuable. Younger generations value experience above products or things, and they use their assets to expand and enrich those life experiences.

    For example, if you offer someone in their twenties $100,000 in cash or $100,000 in travel experiences, most of them will choose the travel option.

    As an entrepreneur, it’s vital to know what is considered valuable so you know where to put your time, energy and resources — and what kind of company to start, invest in and be a part of in today’s world. Whereas before, an entrepreneur may have kept a large storehold of cash in a savings account to shore up the business, but with the recent bank collapses, entrepreneurs are now looking for other safe havens to ensure their value — and their company’s value — remains secure and available to them. This is the current state of how value is shifting and what you need to know.

    How values shift

    Value has been changing in the form of delivery since the beginning of time. We used to trade beads and rice, then we valued fiat currency, and now we’ve moved to blockchain and digital currencies.

    As technology continues to quicken the speed of human advancement, the actual things we use to symbolize value will likely keep changing. This is because the way that we value our time, energy and life experience is evolving beyond just survival.

    Old systems of earning value, investing value and accumulating value are breaking down, and that’s leading to a different meaning of what value can be.

    Instead of homes, cars and belongings, people are finding more value in freedom. Freedom of experience. Freedom of time. Freedom of expression. Freedom of opportunity.

    No longer are fiat currencies and tangible assets the go-to; in fact, studies show that the growing trend of other nations to establish alternate trade routes concerns entrepreneurs about the long-term value of the dollar. Entrepreneurs are looking outside the USA to international vehicles, currencies, and other categories to diversify so their wealth and businesses survive. They are looking for assets that retain their value and that they value personally, rather than putting fiat currency in a bank account or counting the number of computers and company equipment in their commercial real estate office as the only options to give the business value.

    The only tried and true methods are not enough; they want to diversify with other asset classes in holdings as a backup. This may include: collecting hard assets like valuable art, gems or collectibles. In a minimalist trending society that values time over everything else, assets need to be mobile so that it’s easier to access the experiences you want to have.

    Related: How to Build an Impressive Investment Portfolio

    How value is perceived

    Because of the pandemic, people are valuing their time as an asset more than previous generations. People are no longer waiting around and assuming that they have time to waste — this is why entrepreneurs are getting younger and starting businesses earlier in life, according to the Centre for Entrepreneurs. Because of the worldwide quarantines from the pandemic, people feel that they need to make the most out of their lives in every way possible. This awakening has led to a significant difference in what people consider valuable and how they want to run a company.

    How value is experienced

    If you want to shore up your business with a hedge against inflation or a market downturn, consider how to increase your portfolio of assets. How someone experiences their assets directly correlates with how they experience their life and the purposes they need them to serve.

    For example, some people love to collect art, hang it on their walls or proudly display it in their galleries. Other collectors have a vault of art that they haven’t entered in the past 20 years, where portraits that have been passed down for the past six generations are simply collecting dust.

    For the vault owner, the $30,000,000 in art they purchased with the business is not working for them. It may or may not be accumulating more wealth for them, they’re not admiring it, and it’s not being used in any meaningful way. So, the vault owner’s collection may not be considered valuable to them because it’s not enriching their life and there’s a cost associated with maintaining it. Not every investor holds the same value for the same assets. It’s a personal decision that goes beyond fiscal interest but also includes mental and emotional well-being considerations.

    However, for the collector who spends time admiring the brushstrokes of the Impressionist paintings in their gallery each week, that person may feel that their art collection expands their creativity and happiness — therefore bringing value to their life.

    Related: How to Use Alternative Assets as a Hedge Against Inflation

    Overall, things are different now

    There is a big difference between materialism and lived experience. Materialism for previous generations was the equivalent of wealth. Their net worth was tied to their belongings, and that was in alignment with their value system as people. However, lived experience is what today’s generations value above everything else. Assets are to be used to elevate life and delight the senses, which is why travel is so highly coveted. The key to assets being considered high-value today is, in part, tied to their ability to be easily mobilized to create more lived experiences, liquidate to convert, transfer or serve other immediate personal or business needs. Therefore, the more flexible and mobile your assets are, the more subjectively valuable they are.

    Because of the current housing market, stock market and other traditional investment opportunities, people are asking different questions about their valuable hard assets.

    Here are some questions to ask to choose the best asset for your diversification needs:

    • Will I still want this in three years?

    • Is this an asset that fits my current lifestyle or the lifestyle that I want?

    • Is this asset something that’s tradeable for something else?

    • How quickly can I divest this if I don’t want it anymore or need cash for a business or personal need?

    • Does this asset expand my time freedom, or does it rob me of the time that I have that I want to invest in other experiences?

    • Does this asset pull from other assets such as money, stocks, or other things?

    • Does this asset continue to accumulate value on its own accord?

    What each entrepreneur, investor or asset holder perceives as valuable will be unique to them. So, when purchasing or acquiring an asset, get clear on what that asset will do for you, how it will retain its value, whether it will cash flow or give you more time or location freedom, how quickly you can liquidate for cash to meet payroll or any other emergency business or personal needs and what its value is in your life. Adding hard tangible assets to your portfolio may ensure your personal net worth remains stable and your company remains secure in the months and years ahead.

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    Jarrett Preston

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  • How Do You Know If You Should Rebrand? Here’s Some Advice | Entrepreneur

    How Do You Know If You Should Rebrand? Here’s Some Advice | Entrepreneur

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    Opinions expressed by Entrepreneur contributors are their own.

    Should you rebrand? On average, 74% of the S&P companies rebrand within the first seven years. Rebranding is a significant endeavor that can evoke a mix of emotions for companies. It involves many variables and can be both exciting and scary. There are a lot of questions my clients have on whether or not they even need to rebrand.

    At my company, Strategic Advisor Board (SAB), we help clients through opportunity analysis and strategic planning. Sometimes in the strategic plan, we advise the clients to rebrand. If our clients are the ones who bring up wanting to rebrand, we always ask them a few key questions first:

    1. Why do you want to rebrand now?
    2. Have your clients changed?
    3. Is your brand out of date?
    4. Is your growth potential being impacted?
    5. Is your brand no longer in line with your current clients’ needs and wants?
    6. Have you outgrown your brand?
    7. Is it difficult for your clients to tell your brand apart from your competitors?
    8. Has your services or business model changed?

    The first question holds significant importance. At times, businesses consider rebranding simply because it’s been a while since they did any changes to their image. But the why behind the rebrand is what gives way to your brand strategy.

    Related: Is Rebranding the Right Move for Your Company? Here’s How I Knew It Was Time

    When rebranding, what key areas do you need to focus on?

    Brand audits are crucial for aligning your brand identity with your new brand strategy. There are three types of rebranding: brand refresh, partial branding and full branding. A brand refresh will only change a few minor elements, usually within the visual side of things.

    This could include changing a few elements in a logo and or slightly modifying the brand color palette to keep it modern. A partial rebrand would include changing some elements but not others. A full rebrand would change all elements of the brand as if you were a brand-new company. Whichever route you decide to go down, keep in mind that a brand strategy has to do with your company’s positioning in the marketplace and there needs to be a goal in mind of why the strategy is being done in the first place. These are elements of your brand you could change to suit your strategy:

    Business name

    Rebranding can include changing your business name. Start with your brand name. Does your name still connect with your audience? If you’re trying to reach a new audience, does it connect with them? A good name is unique and uses clear, easy-to-remember words. Stay away from trendy words or slang since words can change meaning over time.

    Mission and vision statements

    Do they still align with your company’s focus? Remember, a good mission statement should include a company’s ethics, values, culture and goals and it should affect how your employees and stakeholders operate. It should be clear and concise and easy to understand the first time it’s read and keep it around 1-3 sentences long. Make sure you re-evaluate your values and see if they fit with your new image. A good vision statement should include looking into the future and explaining where the company is going. Also, it should be 1-2 sentences max.

    Related: How to Rebrand Without Losing Your Search Engine Rankings

    Logo design

    I’ve included typography and brand colors in this section as they’re all a part of the visual components of your brand. Brand colors can increase brand recognition by 80%. When most small business owners start creating their brands they’re not thinking about the psychology of colors and how they play on human emotions.

    There’s a whole world behind brand the psychology of color theory and if you look at certain industries you’ll notice there are some common themes in colors. For example, in the restaurant industry, red is used in order to create an appetite. So don’t underestimate the power of brand colors in your logos! A good logo will be simple, look good on all scales, whether it’s on a business card, website or billboard, and it will evoke a sense of feeling of what the brand’s personality is like. If you’ve noticed, in most of the mentioned categories of rebranding, a common theme is simplicity. It’s no wonder that 95% of the top 100 brands in the world only use one to two colors in their logos.

    Brand voice

    Your brand voice is the personality that comes out in all of your marketing and it must be consistent in all communication you have with your clients. From your online presence to the way your employees conduct themselves within their customer service roles.

    It’s important to stay consistent. I would argue this is one of the most important parts of your brand because it’s how you directly connect to your clients. So when you’re rebranding think about if your current voice reaches a demographic you want to continue reaching, or if you want to branch out to another demographic, will they resonate with your brand personality? Maybe your current demographic has connected well to your informal voice but in order to expand to another demographic you would be better off adding a bit of humor to the mix.

    Related: Does Your Company Need A Rebrand? Here’s Why, When and How You Should Do It.

    Tagline

    Taglines aren’t necessary for your brand but they do help in creating first impressions of what your business is all about. A good tagline is short, relevant and creative and it helps with your company’s brand identity and recognition in turn setting you apart from your competitors.

    There are a lot of great reasons to rebrand, just keep in mind that your rebrand should help drive brand loyalty and engagement, create excitement, increase revenue and have a clear purpose and strategy behind it. By updating either some or all of your branding through your business name, mission and vision statements, logo, voice and tagline, you’ll be able to reach new markets, stay modern and stand out from competitors.

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    Jason Miller

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  • 5 Mistakes to Avoid When Working With ChatGPT | Entrepreneur

    5 Mistakes to Avoid When Working With ChatGPT | Entrepreneur

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    Opinions expressed by Entrepreneur contributors are their own.

    As the owner of multiple content websites, I use ChatGPT every day for multiple tasks, including — but not limited to — content creation. ChatGPT is always there for me, whether crafting texts or discussing my business goals with me.

    But as with all powerful tools, ChatGPT and similar Large Language Models (LLMs) have their limitations. I have stumbled upon them many times during my time working with AI. If you rely on ChatGPT in your business without understanding its limitations, that’s a recipe for disaster.

    Here are some common mistakes that you could be making if you think ChatGPT thinks like a human:

    Related: The Top 3 Do’s and Don’ts of Integrating ChatGPT into Your Business

    1. Neglecting to fact-check AI output

    I use AI tools like ChatGPT to create informational web content, which has proven to be an effective strategy for boosting my publishing business. The articles produced by AI writing tools utilizing models like GPT-4 are typically well-written and helpful. Of course, using these tools is also infinitely more cost-effective than hiring writers.

    However, while the AI-generated articles provide a great starting point, they are rarely robust enough to be published as-is without human oversight. It is crucial to thoroughly fact-check the content, as AI tools can get details wrong, especially more nuanced facts that fall outside general knowledge. Make a point to check dates, locations, numbers and any claim that seems very specific. In many cases, the claims are unsubstantiated and need to be taken out of your article.

    2. Using the generic ChatGPT style

    Left to its own devices without any guidance or customization, ChatGPT tends to use a particular writing style. This default style is typically authoritative in tone, yet also dull, lifeless and formal-sounding. It sometimes reminds me of high school essay writing. This would not be an effective style choice for crafting engaging, compelling web content that connects with readers.

    When utilizing ChatGPT or other AI writing assistants, prompting the model for your particular style is important. One helpful technique is to provide the AI with a few samples of your own writing, then ask it to analyze your style and implement similar stylistic elements into the new text it generates.

    3. Failing to guide the AI in a structured, step-by-step manner

    While ChatGPT is capable of generating coherent text, its output quality suffers greatly when prompted to produce long-form content all in one go. A far better approach is to break down the writing process into stages:

    • Discuss the topic, goals and target audience with ChatGPT to help set the stage.

    • Ask the AI to craft an outline based on your discussion. Assess the outline, and make sure it covers the topic properly.

    • Prompt ChatGPT to write individual sections one at a time, offering additional guidance and examples as required.

    • Ask it to suggest improvements for its own work to refine and polish the wording further.

    • Thoroughly edit and refine the full draft as needed.

    Guiding ChatGPT in a structured, step-by-step manner with regular human feedback tends to yield much higher quality writing. This approach is far superior to simply prompting the AI to produce a full piece in one shot and leaving it to its own devices for long stretches of uninterrupted text generation.

    In the web publishing industry, we have tools that create quality content based on a similar method with many pre-determined prompts and a built-in back-and-forth process. You can achieve the same by prompting ChatGPT to do the same.

    Related: How Can Companies Use ChatGPT for Content Marketing?

    4. Using LLMs for tasks outside language processing

    LLMs like ChatGPT excel at language processing and generation tasks. They converse with us in the same way another human would. It’s easy to assume they can do other things that humans do — like counting, for example.

    ChatGPT confidently informed me that the paragraph above contained 42 words. Go ahead and count. It’s easy for you to do as a human. You’ll see right away that the correct number is 37.

    When prompted to generate a numbered list of all the words in the paragraph, ChatGPT struggled badly, either apologizing that it could not get the count right or actually fabricating nonexistent words to reach the incorrect word count it had provided.

    Additional areas I’ve found ChatGPT has considerable difficulty with are solving simple anagram word puzzles or even reliably reversing a string of characters.

    There is a solid rationale behind these weaknesses — ChatGPT was trained to mimic conversational human responses, which it does amazingly well. However, it was not designed for tasks like arithmetic, word games or manual data manipulation. Being aware of exactly when to rely on its language strengths versus utilizing other, more specialized systems is key.

    5. Believing the AI’s self-assessment of capabilities

    When needing to determine if ChatGPT or a similar language AI can handle a particular task well, avoid directly asking the model itself. ChatGPT does not have accurate insight into the full extent of its strengths and limitations.

    For example, when I inquired whether ChatGPT could count words accurately, it confidently assured me it could handle such a simple math task. But as the earlier example illustrates, it failed at word counting multiple times. To assess an LLM’s true capabilities, real-world testing is far more informative than taking the AI’s word on what it can or cannot do.

    Related: 3 Ways to Use ChatGPT to Spark Your Creativity

    The future is here, but tread carefully

    ChatGPT and similar AI tools represent an incredible step forward that can amplify our capabilities if used judiciously. But these are not human equivalents — merely brilliant mimics lacking complete self-awareness.

    By understanding their limitations, prompting creatively, guiding systematically, minding the task suitability and verifying through hands-on testing, we can maximize value while avoiding potential pitfalls.

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    Anat El Hashahar (Anne Moss)

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  • 9 Ways to Combat Common Vendor and Supplier Fraud Schemes | Entrepreneur

    9 Ways to Combat Common Vendor and Supplier Fraud Schemes | Entrepreneur

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    Opinions expressed by Entrepreneur contributors are their own.

    Every café and restaurant entrepreneur recognizes that the thrill of the culinary scene is rivaled only by its inherent challenges. They grapple with fluctuating food trends, finicky foodies, fierce competitors, evolving regulations and the unpredictable turns of the economy. The current climate demands constant reinvention, and even the most promising cafes can be shuttered in a surprisingly short time.

    Instinct might guide you to attribute pitfalls to the outside world, but ever so often, the longevity of a hospitality business is sealed by what happens inside. A deep dive into the operations and dynamics may reveal a myriad of unseen obstacles and prospects. Employee dynamics, training regimes, supplier agreements and inventory choices significantly influence a café’s success trajectory.

    For those aspiring to cement a lasting presence in this demanding industry, continual introspection isn’t a mere suggestion — it’s a necessity. A café’s lasting prominence is intricately linked with its internal mechanics. A particular concern that might often be overlooked but eats into both the profits and reputation of cafes — prominently observed in the vibrant UAE cafe ecosystem — is the shadowy arena of supplier kickbacks.

    Related: I Was Ripped Off by Someone I Thought Was a Friend. Here’s What I Learned.

    Understanding supplier kickbacks

    Supplier kickbacks constitute covert incentives or commissions that suppliers offer to café staff or management with the intent to influence favorable business transactions. These hidden incentives can lead to questionable choices in ingredient suppliers, acceptance of subpar goods and unnecessary orders, thereby increasing waste.

    Recognizing these kickbacks as a form of veiled corruption lurking within business processes is critical. Cloaked as mundane transactions, they imperceptibly skew standard business activities, often remaining undetected until they manifest in compromised quality, inflated costs or eroded profits.

    Though occasionally masquerading as ‘business courtesies,’ the core aim of these kickbacks remains consistent: to acquire an undue advantage in commercial engagements, thereby undermining the foundational integrity essential for a successful and ethical business venture.

    When and how does it start?

    Delegating purchasing roles to seasoned staff is common for cafe proprietors. However, if inadequately compensated or insufficiently supervised, these individuals might be lured by kickback schemes. In economies where hospitality wages are low, the allure of an added income is especially tempting.

    The introduction to kickbacks can be nuanced, starting with a seemingly harmless gesture of gratitude for significant orders or steadfast business relationships. Yet, it can escalate, forming a regular pattern of monetary exchanges — fostering a dependency loop.

    Related: 4 Kinds of Fraud That Could Destroy Your Business

    Why does it happen?

    1. Personal gain: The most obvious reason is personal financial gain. Employees or managers might be lured by the prospect of extra income, especially if they believe it won’t impact the business significantly.
    2. Business relationships: Sometimes, it’s not just about money. It could be about camaraderie or maintaining a long-standing relationship, even if it’s not in the best interest of the café or restaurant.
    3. Lack of oversight: In businesses where there’s little to no oversight on procurement processes, supplier kickbacks can thrive.

    The impact on revenue and business

    1. Financial loss: Kickbacks can lead to the business overpaying for goods or services, directly affecting profitability.
    2. Compromised quality: Loyalty might shift from the cafe business to the supplier, leading to acceptance of subpar or inconsistent products, which can damage the brand’s reputation.
    3. Operational inefficiencies: With kickbacks in play, decisions are no longer made for the business’s efficiency or benefit but for personal gain. This can lead to stock discrepancies, wastage, inefficient recipe proportions and other operational inefficiencies.

    9 Ways to avoid the kickback trap

    1. Active participation: Owners should be involved, even if indirectly, in purchasing decisions, ensuring transparency and accountability.
    2. Fair wages: Paying staff a decent wage reduces their vulnerability to such schemes. It’s essential to acknowledge and commend advancements in accountability, as well as to recognize initiatives that contribute to enhancing operational efficiency and the overall profitability of the business.
    3. Supplier testimonials: Owners should seek feedback and testimonials from current and potential suppliers by consulting with fellow business owners. This provides a genuine insight into the supplier’s credibility and ethos, ensuring a more informed decision-making process.
    4. Transparent procurement processes: Implement clear and transparent procurement processes. Regularly review and audit these processes to ensure compliance.
    5. Employee training: Ensure that employees, especially those involved in procurement, understand the implications of kickbacks. Regular training sessions can help with this.
    6. Whistleblower policies: Encourage a culture where employees can report unethical practices without fear of retaliation.
    7. Regular audits: Conduct surprise checks, recipe & inventory audits, and regular financial audits. Anomalies in procurement can often be a red flag for kickbacks.
    8. Vendor agreements: Have clear agreements with suppliers that strictly prohibit such practices. Regularly review and renew these agreements.
    9. Treat staff well: Beyond just fair compensation, creating a positive and respectful work environment is essential. Recognizing and rewarding employee contributions, providing growth opportunities, and fostering a sense of belonging can deter staff from seeking external illicit incentives and bolster their loyalty to the business.

    The coffee kickback epidemic in the UAE

    The topic remains shrouded in mystery but is not entirely concealed: the trend of coffee vendors offering commissions to lesser-earning baristas. While the UAE’s plush café industry might be a pronounced casualty, it’s vital to recognize that this isn’t an incident isolated to a particular country.

    Overambitious suppliers fueled the inception of this. By wooing under-compensated baristas, they could cement their market dominance. Over time, this malpractice has not only continued but has thrived, perpetuated by the greed and financial desperation cycle.

    This practice has a secondary and perhaps more insidious effect: it stifles the professional growth and earning potential of the ‘front-of-house chefs,’ the baristas. With kickbacks in play, baristas aren’t incentivized to perform in the best interest of the cafe’s revenue nor enhance their craft or knowledge since their earnings are supplemented through under-the-table dealings.

    The onus of this issue partly lies with non-committing café owners who distance themselves from pivotal operational and purchasing decisions, allowing room for such illicit practices to thrive.

    By understanding and employing these strategies, owners can shield their businesses from internal sabotage and foster an environment of trust and sustainable growth. Understanding and addressing issues like supplier kickbacks can make the difference between a thriving business and merely surviving.

    Customers see only the final product without understanding the internal challenges and decisions that shaped it. For entrepreneurs in the café and restaurant business, it’s vital to be proactive, planning not just for today but for the future.

    All restaurant owners must consider: Are we embodying vision, resilience, dedication and innovation with each cup and dish served for years to come? And what unspoken decisions and actions willcharacterizee the legacy of our business?

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    Ryan Godinho

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  • 7 Questions Every Founder Should Ask Potential Investors | Entrepreneur

    7 Questions Every Founder Should Ask Potential Investors | Entrepreneur

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    Opinions expressed by Entrepreneur contributors are their own.

    When I’ve pitched investors in the past, I prepare for the questions they’ll likely ask me, from market opportunity and size to financial metrics and timeline. From my own experiences and having consulted for multiple founders, I’ve learned that it’s just as important to interview your investors as it is for them to be convinced by your pitch.

    Choosing a partner goes beyond securing funds; it’s about finding a partner who believes in your vision and can contribute to the growth and success of it. Similar to a marriage, the investor-founder relationship should be built on trust, transparency and shared values. Take the time to make an informed decision, as it will significantly impact your company’s trajectory.

    Below are seven questions, alongside specific case studies, that founders should ask investors to help ensure a mutually beneficial partnership.

    1. How do you define your role as an investor?

    I’ve heard many responses to this, ranging from an investor wanting to be a resource to a decision-maker, which is why it’s crucial to ask this. Elle Lanning, Managing Director at Camino Partners and also a key member in the growth of KIND Snacks (currently valued at about $5B), always asks this question because both the investors and founders will have strong points of view. Lanning explains how “passion can be mistaken as direction,” and she’s persistent about reminding prospect and current investors that “while the Camino Partners team has their own point of views, it is up to the entrepreneurs and day-to-day leaders of a given company to run the business and make the best decisions for them.” The investor role is very diverse, particularly as some investors will see themselves in a governance capacity.

    KIND Snacks is a great case study for this question, as the founder, Daniel Lubetzky, bought back the stake owned by private equity firm VMG Partners for $220M in cash and notes. Lanning explains, “VMG was a solid partner for the time we worked together, but we reached a place where our objectives were different. We were fortunate to have run KIND in a healthy and sustainable way, so we had a lot of options when we decided that Daniel and the KIND team were best suited to continue to lead the brand’s growth.” It was a risk, but the result paid off, as the start-up is now valued at about $5 billion.

    Related: 5 Questions Every Entrepreneur Should Ask Potential Investors

    2. What is your exit strategy?

    Having an understanding of the timeline expectation and eventual exit strategy for the investor will help you determine if your future plans are mutually aligned.

    Related: When Should Business Owners Start Developing an Exit Plan? Here’s What You Need to Know.

    3. Can you provide references from other companies you have invested in?

    In line with the saying, “If you don’t know the horse, you check the track record,” it’s crucial to gather insights about the investors’ style, reliability and how they work with partner companies. By speaking with other founders to get references about investors, you’ll get a candid opinion of the personalities, best skills and added value that the investors may be able to provide. Again, aligning values and personalities will set you up for the best partnerships.

    4. What value are you able to bring beyond capital?

    Alongside funding, investors can offer valuable advice, connections and industry expertise. Have they invested in similar companies before? At times, great advice or case studies can support your company even more than their investment. Understanding the additional support and value an investor can provide is paramount.

    Related: Investors Are Overlooking the Gig Economy. Here’s How to Unlock Its Untapped Value.

    5. What are your expectations for growth and performance?

    The response to this question will help you assess if the investor has realistic expectations and if the expectations align with your plans. Adam Harris, Founder and CEO of Cloudbeds, a company founded in 2012 that raised about $250M, prioritizes clarity in outcome alignment. Harris explains, “You need to know if your investors are underwriting your deal to require a 2x, 3x, 4x, or 10x return (or whatever the number is). This answer will dictate the amount of risk they’re willing to pursue and the type of capital investments that follow. Know when enough is good enough for the outcomes you are seeking (future fundraises, liquidity events, etc.).”

    Most investors don’t share their thoughts about underwriting a business, but knowing their outcome requirements will align you with investors at every growth stage.

    Harris suggests that all questions to investors center around the following:

    1. How do you incentivize and keep incentivizing me to build what we both want?
    2. How do you and I stay aligned with risk appetite, enterprise value extraction and what’s right for the business?
    3. How do you underwrite my deal?

    If you can get full transparency on responses for the above, you’ll have a better shot at alignment, allowing you to move faster to focus on the big objectives.

    Related: How PR Can Attract Investors and Add Value to Your Startup

    6. How often do you expect to meet after funding?

    Some investors are going to be far more high-maintenance than others, and communication styles can make or break a partnership. You do want a decent amount of interaction. Investors can help find clarity with high-level decisions, but I suggest they stay out of the details, as this may weigh and slow you down.

    7. We have a challenge with this issue. Do you have any insight into how we may help solve it?

    The response to this can be very telling because it will shed some light on how the investor thinks, works and the type of value they can offer. It also demonstrates to the investor that you are open to their feedback and value their expertise as a potential partner.

    Choosing the right investors goes far beyond getting capital. Through open and honest conversations, look to find partners who believe in your vision, feel good compatibility and offer a funding package that will contribute to the growth of your business. Take some time to make the most informed decision possible and ensure clarity across all questions and expectations. If it doesn’t feel like love at first sight, reassess.

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    Elisette Carlson

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  • How Small Businesses Can Leverage AI to Compete With Large Companies | Entrepreneur

    How Small Businesses Can Leverage AI to Compete With Large Companies | Entrepreneur

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    Opinions expressed by Entrepreneur contributors are their own.

    In a growing digital landscape, artificial intelligence (AI) is no longer the sole domain of large companies. In a poll by Vistage involving 1,467 leaders of small and mid-sized businesses, 13.6% indicated they are presently using AI in their operations. Specifically, 6.9% are applying it to business functions and 6.1% for client interactions. Close to a third, or 29.5% of those surveyed, believe that AI will soon be among the most impactful technologies.

    Referring to a study by Deloitte and Stanford University, Spectrum Business says that one in four small businesses is using AI to perform various business functions.

    As demonstrated by these numbers, the ground is set for small and mid-sized businesses to embrace the AI revolution and tap into never-seen-before opportunities to compete equitably with larger organizations. They are well-equipped with the necessary resources and capabilities to use the latest AI technologies to their advantage. Here are several ways small and mid-sized businesses can leverage AI to keep up with the competition:

    Related: How AI Is Revolutionizing Small Businesses

    1. Concept validation

    Small businesses can seek help from AI to examine market dynamics, customer input and historical data to confirm the viability of new concepts. AI can forecast the potential for success based on trends, insights and forecasts.

    2. Brand ideation

    The strength of a business brand has the power to transform customer perception into lasting loyalty, turning everyday interactions into lifelong partnerships. Small businesses can use AI to scrutinize brand values, customer sentiment and industry trends to spark inventive brand concepts that resonate with the target audience. Machine learning can analyze public sentiment towards various brand elements, enabling fine-tuning in real time.

    3. Documentation management

    There are few better tools than AI to rationalize documentation processes that are usually resource- and labor-intensive. AI can propose templates, generate reports and automate routine tasks that are intrinsic to documentation management.

    4. Customer service

    Chatbots can intelligently handle a variety of tasks including answering queries, booking appointments and assisting with purchases. And the best thing is that they can do all this 24/7. This not only frees up human resources but also provides timely service to customers.

    5. Marketing personalization

    AI algorithms can analyze consumer behavior and provide actionable insights that are fairly accurate. This allows small businesses to tailor their marketing efforts and reach their target customers without having to spend a lot of money. In addition, AI can take stock of consumer feedback to suggest refinements or enhancements to existing product and/or service offerings.

    6. Cost-effective advertising

    AI enables small to mid-sized businesses to optimize advertising costs in several ways. By analyzing data, AI helps pinpoint specific target audiences and their behaviors. This allows businesses to utilize their advertising budget more effectively. AI also adapts content dynamically based on user engagement and identifies optimal times and platforms for ad placement, ensuring that each dollar spent yields maximum impact.

    7. Inventory management

    AI can predict stock needs based on historical data, ensuring that your business neither runs out of inventory nor wastes resources on excess stock. This could also result in substantial savings on warehouse expenses.

    Related: How Small Businesses Can Leverage AI to Battle Bigger Competitors

    8. Process automation

    From onboarding employees to managing invoices, AI can handle repetitive tasks, reducing operational costs and human errors. Automated workflows can save up to 20 hours per week for an employee.

    9. Operational enhancement

    AI can assess current workflows, identify operational bottlenecks and propose enhancements. Machine learning algorithms can refine procedures by learning from data and getting better at learning.

    10. Advanced analytics

    Real-time data analytics powered by AI can offer valuable insights on performance and user engagement, helping small businesses make informed decisions quickly and in a cost-effective way. These analytics can also help companies pivot their strategies over the medium to long term.

    11. Competitive pricing

    AI can set and track dynamic pricing models that are based on various factors such as demand and availability, market conditions, competitor activities and even weather forecasts. This ensures that small and mid-sized businesses can develop and maintain a competitive pricing strategy.

    12. Business rationale and exemplars

    AI can help build persuasive business rationales and create illustrative case studies that underscore the value of a company’s products or services. This could help draw investors’ attention and infuse much-needed capital for future growth.

    13. Adjacent service exploration

    Small and mid-sized businesses can leverage AI to dive deep on market data, uncovering potential adjacent services that align with their business objectives and customer requirements. This enables companies to expand into new market segments with minimal risk.

    Related: How To Use Artificial Intelligence To Boost Your Small Business

    AI offers an opportunity for small and mid-sized businesses to level the playing field. By adopting AI technologies, not only can these companies automate mundane tasks, but they can also delve into advanced analytics and offer highly personalized experiences to customers — things that were previously only within reach for large corporations.

    Do you know any other ways AI can help small to mid-sized businesses? I would love to learn!

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    Nish Parikh

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  • How to Solve 5 of The Biggest Global Payroll Challenges | Entrepreneur

    How to Solve 5 of The Biggest Global Payroll Challenges | Entrepreneur

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    Opinions expressed by Entrepreneur contributors are their own.

    Building a global workforce is a smart way to boost growth and productivity. But to make it successful, you need to handle the challenges of a compliant global payroll.

    After all, there’s no point in having a global workforce if you can’t pay them properly. By managing compliant international payroll, you can capitalize on the potential of your global team and drive your business forward.

    Navigating the complex global payroll landscape can be daunting for businesses. From unfamiliar tax regulations to complex compliance requirements, organizations face significant challenges in managing international payroll effectively.

    However, by mastering these challenges, businesses can unlock untapped growth opportunities and harness the power of a global workforce. Let’s examine the five biggest global payroll obstacles and look at practical strategies to overcome them.

    Related: The Rise of Self-Employed in the Global Workforce and What Business Owners Need to Know

    Exploring the five challenges of global payroll

    1. Local tax laws and regulations.

    To ensure employees are taxed correctly, regardless of where they are, organizations need to plan and follow tax payment rules carefully. Companies must stay updated on the changing regulations and policies set by foreign governments to meet these requirements.

    2. Worker categorization.

    It is necessary to understand the differences between employee and contractor classifications when dealing with international employees. Correctly categorizing them is essential to avoid legal penalties and protect a company’s intellectual property. Misclassifying employees can result in severe consequences such as hefty fines, penalties, damage to reputation and ultimately, enough challenges to make staying in the country not worthwhile.

    3. Data protection policies.

    The confidentiality of employee payroll information is essential and requires strong security measures. While payroll companies may be familiar with data protection regulations in their own countries, managing global payroll necessitates compliance with data laws in various locations, such as GDPR in Europe or PDPA in Singapore.

    4. Payment currency.

    Determining the method and timing of payment for employees working in different countries is pivotal. It’s important to consider that the location can influence the currency used and the applicable employment laws. If payroll teams are unaware of the latest rates and don’t ensure timely payments, foreign exchange fees can pose a problem in various markets.

    5. Employee benefits.

    Companies must pay close attention to the different statutory benefits offered to their global workers in each country. Obligations such as pensions, sick leave, health insurance and maternity leave can vary significantly from one country to another. Failing to meet the specific benefit requirements of a country may result in attracting the attention of local authorities.

    Related: Practical Solutions for the Top 5 Challenges for Founders in 2023

    Overcoming global payroll hurdles

    Global payroll compliance presents significant challenges, but solutions are available. Here are three proven strategies to overcome international payroll challenges effectively.

    1. Outsourcing global payroll.

    One approach to handling global payroll is to explore international payroll companies that specialize in managing all aspects of payroll for expanding businesses.

    International payroll providers typically operate within the country where the organization does business. This advantageous setup provides a complete understanding of local labor laws and regulations, ensuring proper protection for workers.

    By partnering with a payroll company, organizations can delegate crucial responsibilities such as tax management, compliance, handling paid time off and other payroll-related tasks. This is especially helpful for new international businesses because it allows them to focus on their core operations while experts manage payroll matters.

    2. Employer of Record (EOR).

    A global Employer of Record (EOR) is a valuable resource for businesses seeking to hire, onboard and pay workers from other countries without setting up an expensive and time-consuming legal entity.

    Managing payroll obligations can be complex and time-consuming. An EOR simplifies the entire process by taking charge of all aspects of employee compensation. This includes fulfilling payroll requirements, managing voluntary benefits, facilitating smooth onboarding and offboarding procedures, handling expense reimbursements and more.

    3. Shadow payroll system.

    Another innovative solution for paying global employees is a shadow payroll system. It ensures that taxes and social security payments are correctly handled for employees working in a foreign country while still meeting their obligations in their home country.

    A person assigned to work internationally might be paid by their home country’s payroll, employer’s payroll or both. The shadow payroll comes into play when the employee is not paid directly in the country they’re working in.

    It calculates and reports the taxes and benefit contributions that would be required if the employee were paid in that country without actually making the salary payments to the employee.

    Related: Audits are Getting More Attention Because of Financial Irregularities at New-Age Ventures

    Don’t let payroll compliance slow global growth

    By proactively addressing the biggest global payroll obstacles and implementing the strategies outlined in this piece, businesses can transform the daunting task of managing international payroll into a streamlined and compliant process.

    Embracing innovative solutions like outsourcing, Employer of Record (EOR) services and shadow payroll systems can further boost efficiency and accuracy. Organizations can now conquer payroll challenges and unlock the full potential of a global workforce.

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    James Peters

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  • Pitching to Journalists and Investors Is Like Playing a Game of Cards. Here’s How to Know Which Ones Will Help You Win. | Entrepreneur

    Pitching to Journalists and Investors Is Like Playing a Game of Cards. Here’s How to Know Which Ones Will Help You Win. | Entrepreneur

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    Opinions expressed by Entrepreneur contributors are their own.

    Pitching your story to journalists and investors is similar to playing a game of cards. Although the outcome does depend on your strategy and experience, it is still largely determined by what’s in your hand. The thing is, to get the most out of the cards received, it is necessary to realize their value.

    So, let’s discuss what can become your trump cards and help you achieve your goals — and how to use them properly.

    Joker: $10+ funding round

    When pitching news to journalists, a large investment amount can become your joker. If a company has raised over $10 million, top media outlets will unlikely remain indifferent. Crunchbase data shows that US Series A funding has declined for five consecutive quarters. The situation with Series B funding is no better — it’s even harder to raise. The chances of startups reaching these stages have never been exceptionally high, but the decline in venture capital makes the task even more difficult.

    It also means that journalists are likely to pay attention to your project if you get past this milestone. News about companies raising millions of dollars and guest posts about how they managed to do it in such a volatile economy regularly appear in Techcrunch, Forbes, Venture Beat, Entrepreneur and other media outlets. So, it’s much easier for a startup that has attracted such funding to pitch its success story to editorial boards.

    Although the odds of winning the game with a joker increase dramatically, you’ll also need trumps for sustained success. Let’s talk about them now.

    Related: 5 Ways to Make Journalists Actually Want to Publish Your Brand’s Stories

    Industry reports with exclusive figures

    Unique market data may be the trump ace that will help you get into top-tier media outlets. A cybersecurity company specializing in preventing DDoS attacks can collect information on the number and types of such attacks in different regions, as well as the most attack-prone industries, and share the results with journalists. At the very least, this story may be published on specialized cybersecurity news websites. And at most, international publishers with a broader profile and audience, such as Bloomberg and CNBC, will express their interest.

    An important tip from my experience is to consider the specifics of a particular media outlet. If you want to pitch your report to a news agency that writes about the UAE, don’t try to focus on global trends in your story, as editors will be primarily interested in the local situation. And vice versa, if you aim to get into the global technology and business media, emphasize the international trends and how the industry is changing.

    A well-known investor

    With an investment of at least $1 million, this card can be your trump jack, queen or even king. A high-profile investor can attract media attention for two reasons. First, the name of a recognized venture fund or business angel can hook the reader and compel them to read the entire article. Second, it is a quality marker for journalists. If an experienced investor noticed a project, there is a higher chance that the startup makes a worthwhile product. Of course, this is not always the case — the story of Theranos shows otherwise. Still, the project gained worldwide fame even before the scandal.

    This trump card works exceptionally well if the investment made is the first of its kind for the fund — or, on the contrary, continues a series of funding rounds in a particular area. For example, in 2022, Techcrunch wrote about a16z investing in BreederDAO, a blockchain-based producer of digital assets for games and virtual worlds. Before this, a16z had supported several other decentralized solutions, which caught journalists’ attention. And in 2023, Reuters mentioned that Sequoia made its first investment into defense technology company Mach Industries.

    Having a reputable investor on board also becomes a trump when raising the next round. At the very least, they can help founders with valuable contacts in the industry. One study shows that 20% of venture deals come from referrals by other investors. Plus, the fact that someone experienced has invested in the company means that they have already conducted due diligence, evaluated the market, competitors, product and team —and concluded that the deal is worth the risk, which enhances the reputation of the project in the eyes of venture capitalists.

    Innovative technology

    If you have developed a unique solution and can prove it — congratulations, that’s another trump card. I’m pretty sure that you’ve seen articles with headlines like “This startup is looking to…” more than once in major media outlets. For instance, “This startup is zapping seawater to tackle climate change” in The Verge or “This startup wants to give farmers a closer look at crops-from space” in Wired. Often, subjects of these stories try to tackle pressing issues, such as staff shortages in the healthcare industry, food crisis or global warming, through technology. So, if you offer a truly innovative solution, especially if you are solving a critical social problem, the chance of seeing a feature about your startup in a top media outlet increases dramatically.

    However, often, more than this is needed. In our practice, there was a case where a top-tier journal was interested in a healthcare robotics project but agreed to publish a longread about it only when the team got first clients on board. In the case of The Verge story mentioned above, partnership with Boeing became one of the startup’s chips, which helped it to win the pitching game. If you don’t have that, the task can get more complicated.

    Plus, in some cases, pitching to investors may take more time and effort. Suppose we are talking about a complex, innovative high-tech product, for example, in biotechnology or alternative energy industries. In that case, many investors may be scared off by the long payback period and the hardships associated with hardware development.

    Still, if you are disrupting a niche and can provide supporting documents such as patents, a detailed description of the technology, test results, competitors and market analysis — you’ve added a trump card to your hand.

    Related: The 10 Things You Should Cover in Every Investment Pitch (Infographic)

    Successful entrepreneurial experience

    If your past projects have succeeded, it will be easier for you to attract your target audience’s attention. And if you have already created a market leader, count that as your trump king or ace, both for the media outlets and investors.

    The most straightforward example confirming both theses is Adam Neumann, founder of WeWork, who raised $350 million from a16z for his new real estate startup, Flow. Major media outlets wrote about it because of the huge investment amount, the well-known investor and the fact that it was Neumann, the founder of a coworking giant. His controversial past didn’t scare off a16z. General partner Chris Dixon said of Adam, “He’s one of the few founders — I mean, he’s one of the only people in the world who has built a real estate brand name.”

    If the previous project was successful but did not reach such heights as WeWork, such a trump card will unlikely change the situation without others and may not help you get into the top-tier media. But it is indispensable when pitching to investors because, at the early stage, they look at the team first. With an experienced founder in front of them, they will be more interested in considering the project. According to PitchBook, the fundraising process is easier for serial entrepreneurs. Moreover, they get a deal size and preliminary valuation 2-4 times higher than their less experienced colleagues.

    News tied to current events

    Journalists want their stories to be relevant. Tying your pitch to current events greatly increases your chances of being mentioned. Since no one can constantly generate breakthrough news, it’s a great way to stay in the spotlight. During the pandemic, media outlets featured compilations of projects fighting Covid-19, stories about companies that had to change strategies to stay afloat, and guest posts about how different technologies can help to stop coronavirus from spreading. Of course, you can’t predict how things will turn out and when your expertise and product will be most relevant to journalists. Still, keeping a finger on the pulse and seizing the right moment can become your trump card.

    As your company grows, you will acquire more and more trumps. The best part is that they will stay with you for future battles, unlike in a real game of cards. For example, the “Attracted substantial funding from a recognized investor” card will definitely help you in the next round of pitching. The more trumps you have, the stronger the player you are — the easier it is to win even the most challenging games: getting top-tier media coverage and finding new investors through publications.

    Related: 6 Tips on Grabbing Major Media Coverage for Your Business

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    Evgeniya Zaslavskaya

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  • 9 Key Tips for Managing a Multi-Site Web Publishing Business | Entrepreneur

    9 Key Tips for Managing a Multi-Site Web Publishing Business | Entrepreneur

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    Opinions expressed by Entrepreneur contributors are their own.

    Operating a web publishing business with a portfolio that has over 20 websites is quite an endeavor. I know because I’ve been doing that for the past few years.

    Fortunately, not all of the sites in our portfolio are of equal weight. For all practical purposes, we focus our efforts on six sites: our revenue locomotives and sites where we see significant potential for growth.

    But even managing only six sites on a daily basis can feel like a juggling act. In fact, many successful publishers focus on a single site for years and shudder at having to deal with as many as two sites.

    Each of our sites is different, covering specific niches and catering to varied audiences. The challenge lies with ensuring each site receives unique attention while keeping operational efficiency across our company.

    Here are nine battle-tested best practices that help me give each website the attention it deserves.

    Related: How to Write Website Content That Sells

    1. Establish brand guidelines

    We have branding guidelines that help our content creators use the same language and express the same values across entire sites.

    For example, our cat-focused site’s brand guidelines focus on promoting the core values of responsible pet ownership. They guide our content creators towards encouraging practices such as spaying and neutering while condemning declawing.

    This unified messaging elevates the site’s credibility and simplifies the job for our content teams.

    2. Centralize key tasks

    In many ways, our team operates a web content assembly line. And just like with any assembly line, specialization increases efficiency. That’s why we have dedicated teams handling specialized tasks.

    For example, we have a media team solely focused on image optimization across all our websites. These media specialists know how to choose the right stock photos, optimize and edit them, and add them to our articles. This kind of streamlining speeds up workflow and maintains quality across different websites.

    3. Leverage shared databases and online tools

    The tech stack you use can make or break your operational efficiency. A centralized task management platform or shared databases like Google Suite are vital when the same people collaborate in managing multiple websites.

    For example, our setup employs Google Classroom to create training routines that benefit teams working across different websites. Information is stored in a company-wide Google Drive, where team roles determine access.

    4. Automate where possible

    We make ample use of platforms like ClickUp to automate task routing between our various teams. Each article goes through a uniform workflow, reflected in automated changes in status, assignees and dates.

    Each one of the sites has its own space on Clickup, where we utilize the same automation to create a unified streamlined workflow for all our content production operations.

    Related: 3 Things to Consider When Automating Your Workflows

    5. Foster open communication

    In a remote work setting such as ours, open lines of communication are essential. We have weekly Zoom check-ins and Google Chat channels dedicated to different project streams, ensuring everyone stays in the loop.

    These channels of communication allow our team members to continuously learn from one another. When something works — or doesn’t work — for a specific site, the information flows around so it can be implemented on a different site if applicable.

    6. Create detailed strategies

    We aim to create unique strategy playbooks for each site, focusing on their specific audience and content themes.

    Strategies can range from aggressive SEO tactics for our tech blogs to user engagement for our lifestyle websites. A visual niche could be a good candidate for Pinterest promotion, whereas one with community aspects could work better with shareable content pushed across multiple social media platforms.

    Tailoring the strategy to the site is key when managing a large portfolio. Not doing so leads not just to mediocrity but sometimes to utter failure.

    7. Have dedicated site operators

    To make sure each site gets individual attention, we’ve organized our operations into “pods.” Each pod manages a cluster of websites.

    The sites in each cluster aren’t necessarily thematically related. The idea is to balance the workload, allowing each pod manager to effectively act as a site operator for one or more of our sites. Site operators can be like having mini-CEOs focused on micro-goals, which roll up into our macro-objectives.

    8. Stay organized

    With so many moving parts, being organized isn’t just a virtue; it’s a necessity.

    We use task management software where each site has the same structural format, making it easier for team members to switch between projects without missing a beat.

    The key here is not to drop the ball on anything important across all of the sites.

    Related: This Highly Rated App Could Help Business Owners Stay Organized

    9. Remain flexible

    In the ever-evolving digital landscape, flexibility is key. We don’t just adapt to new technologies; we embrace them. From AI-generated content to emerging social media platforms, our agility allows us to stay ahead of the curve.

    This is important even when managing a single website. It becomes dizzyingly crucial when juggling multiple ones.

    Related: 3 Principles for Scaling Content With AI Without Sacrificing Quality

    The challenges are always there

    Running a multi-site web publishing business comes with its own set of challenges. Establishing these best practices and being nimble in your approach can help you meet some of these challenges, mitigate risks and ultimately benefit from the rewards.

    The digital landscape evolves rapidly, and new tools that enhance efficiency are on the horizon. I’m eager to test management AI solutions and other emerging technologies across our multi-site operations when viable options become available.

    By staying nimble and keeping an eye on the next waves in web publishing, we can continue to optimize our processes. While the platforms may change, the best practices of organization, automation and communication will remain fundamental to our success.

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    Anat El Hashahar (Anne Moss)

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  • How to Build a Company That Excels at Both Leading and Coaching | Entrepreneur

    How to Build a Company That Excels at Both Leading and Coaching | Entrepreneur

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    Opinions expressed by Entrepreneur contributors are their own.

    Companies, in an effort to be more efficient, are thinking twice about how many middle managers they need. And that makes it more important than ever to move from managing people to leading and coaching so they can do their jobs without the kind of oversight we thought they needed in the past.

    Getting it right starts with understanding the difference between managing and coaching.

    What happens if a professional football coach puts a player into a game who is underweight, inexperienced and doesn’t know the playbook?

    Let’s think about what might happen. The player could get hurt or get others hurt. Teammates will be scrambling to make up for his lack of experience and incompetence. The team will be mad at the coach. Lots of not-good things will happen. So, coaches try to avoid this.

    Related: Coaching Over Managing: Motivate Your Team

    The difference between coaches and managers is that coaches know they have to put the right people on the field. Most managers don’t worry about that because, deep down, they think they could play the position. That’s called micromanaging, and almost no one likes to be micromanaged (besides, do you really want to lead those who do?).

    That’s why the age of managing is over. I believe we are moving into an age of leading and coaching.

    Companies have come to realize they don’t need layers of managers, and employees are increasingly — and appropriately — asking for explicit levels of autonomy and authority. A business runs best when team leaders talk with their staff about what’s expected, turn those expectations into agreements or commitments (when agreements aren’t possible), and then get out of the way. And the key to doing that successfully, without losing some measure of supervision, is taking accountability for leading and coaching.

    Leading is straightforward, and it involves: having a compelling vision; being clear about who is responsible for what; giving people the resources they need to do their work; staying connected; making sure there are agreements (or commitments, if you can’t agree) — and that agreements/commitments are lived up to; ensuring everyone is walking the talk.

    If you think it’s all about leading, you’re flat wrong. Leaders are playing their own version of Don Quixote if they’re unable to provide coaching. Coaches help their teams get whatever they need — resources, training, systems, etc. — to honor their agreements or commitments.

    If you think that’s a lot, well, maybe it’s time to get out of the leadership and coaching game.

    There are four basic steps to building a company that is really good at leading and coaching:

    Related: 3 Effective Ways to Lead as a Coach Rather Than a Boss

    Hire the right people

    Effective coaching starts with hiring the right people and giving them the tools they need to succeed. Half of new hires are unsuccessful. That’s a dismal rate for hiring “managers” (I don’t like the word “managers”). A football coach would be gone with a statistic like that.

    A team leader who hires the wrong person often ends up micromanaging them instead of working to “hire right” in the first place. So, interviewing skills are key. Interviewers should be clear about not only the position’s roles and responsibilities but also key performance indicators (KPIs) and targets that foster clear understanding of what it means to do the job well.

    New hires need to understand the organization so they can get themselves up and running within 90 days without close supervision. That means being very intentional during the onboarding process and then, assuming they meet key requirements, staying out of their way and letting them bring their unique attributes to the organization. Everyone is different, with a collection of aptitudes, skills, experiences and motivations.

    Employees need to understand who is responsible for what — they require access to a platform that makes it easy to familiarize themselves with the organization’s chart of accountabilities — as well as business processes and company culture. They need to have a sense of the company’s ideal client and unique value proposition. After all, they’re part of an ecosystem — a complex adaptive system — that is explicit, coherent and resonates with all of what we call their ideal stakeholders (not all stakeholders are ideal, so please don’t worry about the ones who frankly don’t matter).

    Hold effective meetings

    At Ninety, our team leaders meet one-on-one twice a week with every new team member during the 90-day onboarding period and once a week afterward. There’s a set agenda that includes reconnecting as humans, reviewing KPIs and 90-day goals to make sure everything is working well and is on track, and bringing up and solving any issues.

    By onboarding team members properly, including ensuring they have an understanding of what defines the company (the why, who, what, when, where and how), meeting with them weekly, and agreeing on clear goals and metrics — especially those that help us agree on when things are wonky — both sides are set up for success. Employees won’t need micromanaging, giving you ample time to lead and coach your entire team.

    In short, the way a company views meetings is a clear and unambiguous sign of how well it’s run. A great company schedules almost all meetings. Ad hoc meetings are for urgent, unplanned business, and a well-run company shouldn’t have to scramble to react to events.

    Provide continuous feedback

    Well-run companies have ditched the annual review (don’t get me started on this topic). Everyone should meet quarterly with their team leader and have a simple, structured conversation about how they are doing as a leader/coach and as a team member.

    Consider conducting “stay interviews.” Many companies have exit interviews. But asking employees who don’t plan to leave what they love about the company and listening to their constructive feedback can be an incredibly positive experience.

    Related: 10 Rules for Coaching Your Team to Greatness

    Have the right compensation structure

    Using the right incentive plan for your company’s mix of employees is key. Companies have different cultures. Some, particularly in fields such as investment banking and private equity, have more of a warrior mentality. So, in addition to hiring people with related skills, a company would want an incentive plan that’s warrior-based — people who are paid to close deals or complete other high-consequence tasks. Another company might take a more team-based approach, and that company should have team- or company-based incentives.

    What you don’t want is a warrior-based culture with a team-based incentive plan or vice versa. That won’t make anyone happy because your words and incentives are incongruent.

    It is possible to create a place where people love going to work. To get there from where you are now, you’ll find it’s super-helpful to provide autonomy where it’s earned and appreciated, and form a culture that is explicit, coherent and resonates for all ideal stakeholders.

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    Mark Abbott

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  • How to Create Decision Frameworks That Drive Business Growth | Entrepreneur

    How to Create Decision Frameworks That Drive Business Growth | Entrepreneur

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    Opinions expressed by Entrepreneur contributors are their own.

    No company can rely on a single person to make decisions. According to a study by McKinsey, managers at a typical Fortune 500 company waste more than 500,000 days a year on ineffective decision-making. The more diverse your team, the better their decisions, so it pays to empower all your team members to make decisions autonomously.

    As the CEO of an 8-figure technology company responsible for hitting the KPIs of our publicly traded parent company, I see firsthand the benefits of getting this right. Our unique approach to leadership has led directly to 7-figure annual growth year over year, even during a market downturn.

    From the start, my leadership philosophy is that no single person should be burdened with all the decision-making. This can create a bottleneck and limit what your team can accomplish. Instead, it’s vital to create frameworks for decision-making that empower each individual on the team to make consequential decisions while still being accountable to me as a leader.

    If you want to increase the efficiency of your teams, read on for my five-step process to take you out of the day-to-day and accelerate your business growth.

    Related: 4 Leadership Methods for Empowering Employees and Building Strong Teams

    Empowering your team

    The key to successful decision-making lies in trust. You need to empower your team members to make decisions while still giving them the guidance and authority they need to do so correctly.

    This means that you have to be clear about expectations from the start by setting up an environment where everyone is aligned around a common goal and vision for the company’s growth and development.

    One of our main strengths is that we are a small, flexible and agile organization. We have a startup culture where the structure needed to be established from the ground up, and establishing the foundational framework has helped to shape the organization. We don’t have too many layers of bureaucracy, so our team members are able to act on their decisions quickly and efficiently.

    Build a system to your company’s method for making decisions, such as “anything under $500 to fix, decide for yourself” or other types of guidelines. This demonstrates that you trust their ability to make decisions and bolsters the team’s trust to carry out their roles and responsibilities.

    Without some level of autonomy, decision-making can become bogged down and slow. And that’s the last thing you want regarding business growth.

    Compartmentalizing responsibility

    The great thing about creating frameworks for decision-making is that each team member has a defined role and responsibility. This makes it easier for them to make decisions without worrying about stepping on someone else’s toes.

    For example, each member of our sales development team is expected to work on their own initiative to identify potential leads, develop relationships and close deals. This allows everyone on the team to focus on what they do best and act quickly without having to check with me for approval every time. Plus, it also creates a sense of ownership among team members. Everyone feels like they have a stake in the success of the company and are doing their part to contribute.

    Establish a balanced combination of servant, situational and adaptive leadership to build your decision frameworks. The focus is on solving problems with innovation. For example, stay involved in the training process upfront for the team to activate around customer acquisition and sales, instead of taking a permanently directive “ivory tower” approach. Once they understand the structure and how you think, each member of the team can take their role and run with it. That way, you understand the intricacies of their day-to-day overall operations and understand every decision the team makes over the long term. This helps to bring everyone together and communicate clearly.

    Related: 6 Ways to Encourage Autonomy With Your Employees

    Reducing risk and setting boundaries

    Of course, that’s not to say you should throw caution to the wind and let your team run wild without oversight.

    On the contrary, setting boundaries and managing risk is essential when creating decision-making frameworks for your team. Outline a transparent chain of command so everyone has a sense of who is responsible for what and when. If something goes wrong, each team member knows who to turn to first and who will ultimately be held accountable.

    It’s essential that your staff know when they can act independently and when they need to refer a decision up the chain. This gives them a sense of freedom while also providing guidance and structure in their decision-making process.

    Setting boundaries for an autonomous team requires trust, effective communication and a commitment to a shared purpose. By providing guidance and structure while respecting their decision-making capabilities, you can create a team that excels while maintaining a healthy level of autonomy.

    I provide a clear understanding of the team’s overall goals and objectives. When team members know what KPIs they are working towards, they can make decisions that align with these goals. I also give team members access to relevant information, data and context that can aid in their decision-making process. This enables them to make well-informed choices within the defined boundaries.

    Building a culture of trust

    The greatest asset of any company is its people; creating an environment of trust is essential for successful decision-making. It starts with communication — keeping your team informed about updates and changes.

    Schedule regular daily, weekly or monthly check-ins with the team, formally and informally. This helps you keep abreast of any issues they might face and offer guidance when needed. Consider quarterly strategy meetings to evaluate the progress in relation to the KPIs and highlight any areas of improvement.

    Finally, celebrate successes and recognize individual contributions. People need to feel appreciated for their efforts in order to stay motivated. A culture of trust and respect will also encourage open dialogue, feedback and collaboration, which is essential for innovative decision-making.

    Related: 4 Ways to Guide Your Employees Toward Empowered Decisions

    Build a framework for your success

    The key to successful decision-making is a framework that lets your team make powerful decisions while still being accountable for them. Empowering each individual on your team by giving them clear expectations and autonomy is essential in creating an environment of trust.

    Ultimately, by creating transparent decision-making frameworks, you can foster an environment of collaboration and innovation that will drive your business growth and success for years to come.

    By setting clear expectations, compartmentalizing responsibility, building a culture of trust and managing risk through clear boundaries, you’ll be able to ensure that each team member is making the right decisions, on the right subjects, at the right time, to help your business excel.

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    Sebastian Huelck

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  • How to Successfully Transition From Solopreneur to Team Leader | Entrepreneur

    How to Successfully Transition From Solopreneur to Team Leader | Entrepreneur

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    Opinions expressed by Entrepreneur contributors are their own.

    Strap in, ambitious solopreneurs, because we’re about to elevate your game from one-man wonder to a synergistic powerhouse. You’ve hustled hard, pulled all-nighters and turned your nascent idea into a full-blown operation. Kudos! But here’s the real talk: You’ve hit that proverbial ceiling, and it’s time to break through.

    We’re transitioning you from solopreneurship to a dynamite team, and we’re doing it like pros. No fluff, no filler — just actionable, expert-level insights that you can implement right now. Ready to multiply your impact and skyrocket your enterprise? Let’s dive in.

    Related: 4 Key Indicators It’s Time for You to Hire Your First Employees and Stop Doing Everything Alone

    Step 1: Acknowledge the inflection point

    Let’s not sugarcoat it — there comes a moment in your solopreneurial journey when you’re straddling the fence between self-sufficiency and needing an extra pair of hands. You’ve got more business than you can handle, and sleep has become an estranged friend. This, my friend, is your inflection point, and it’s the universe screaming at you: “Hey, it’s time to scale!”

    So, how do you know you’ve reached this milestone? You’re drowning in tasks, your calendar looks like a game of Tetris, and let’s be real, you’re not Elon Musk — you can’t single-handedly launch rockets and run multiple companies. So, don’t. Instead, focus on strategizing your next move, which is assembling your dream team.

    Step 2: Strategic role identification

    Before you spam LinkedIn with job postings, pause. Take a deep dive into your operational workflow. Identify the bottlenecks only a specialized skill set can alleviate. Look, not every Tom, Dick or Harriet with a CV can drive your vision forward.

    Create a list of roles critical to your business. But don’t just create any roles. I’m talking about roles so strategic that filling them will multiply your efficiency, not just add to it. Think — a Tech Lead who can spearhead your product development or a Digital Marketing Wizard who knows SEO like the back of their hand.

    Step 3: Financial forecasting and budget allocation

    Unless you’ve discovered a tree that grows money, you need to allocate your finances meticulously. Bootstrapping is not going to cut it when you’re onboarding a team. Sit down with your financial statements, and let’s do some adulting.

    How much revenue are you generating? What are your projected earnings? Calculate the ROI for each new hire. Will they bring in more business? Enhance productivity to a point where you can accept more clients? If the math doesn’t add up, you’re not ready. If it does, proceed with purpose.

    Step 4: The hiring process

    Hold onto your hat because the hiring process is a rollercoaster ride. You’re essentially dating professionally, and you can’t afford to match with the wrong person. Utilize specialized job boards, network ferociously, and even consider headhunters if you’re looking for rare skills.

    During the interviews, go beyond the technicalities. Assess cultural fit, soft skills and their vision alignment with your enterprise. You’re not building a team of robots; you’re constructing a powerhouse of innovative minds.

    Step 5: Onboarding and culture development

    Congratulations, you’ve got your team! But hold those horses; we’re not popping champagne yet. An effective onboarding process is not a nicety; it’s a necessity. Spend quality time educating your team about your business processes, culture and expectations.

    Remember, culture is not built overnight but through consistent actions and shared values. Be the leader who doesn’t just tell people what to do but shows them how it’s done. Create an environment of open dialogue, continuous learning and mutual respect.

    Related: Transitioning From Solopreneur to a Team Leader

    Step 6: Performance metrics and KPIs

    In business, what gets measured gets managed. Implement Key Performance Indicators (KPIs) that align with your business objectives. You can’t gauge the effectiveness of your team without solid data. I’m talking hardcore analytics, feedback loops and quarterly reviews.

    Your team should not just know what their roles are; they should be crystal clear about how their performance will be evaluated. Remove subjectivity and replace it with measurable outcomes. Anything less is managerial malpractice.

    Step 7: Conflict resolution and team dynamics

    Human beings are wonderfully complex creatures. No matter how meticulous you’ve been in the hiring process, conflicts are as inevitable as taxes. But guess what? They’re not necessarily a bad thing. Conflicts can lead to constructive discussions, challenge stagnant perspectives and birth innovative solutions.

    The key is to not let conflicts fester. Address them head-on. Create a culture where employees feel comfortable voicing their concerns. Remember, as the leader, you set the tone for conflict resolution. Use structured frameworks to mediate disagreements, such as an interest-based relational (IBR) approach or principled negotiation. These are not mere buzzwords; they’re the bread and butter of effective team management.

    Step 8: Continuous learning and skill upgradation

    We live in a digital age where the landscape changes faster than you can say “disruptive innovation.” Continuous learning isn’t a nice-to-have; it’s a must-have. You and your team need to be in a state of perpetual skill enhancement. I’m talking webinars, online courses, certification programs — the whole nine yards.

    Set aside a budget for professional development. Encourage your team to identify skill gaps and find ways to bridge them. Is your digital marketer falling behind on the latest SEO trends? Time for a course. Is your tech lead scratching their head over a new coding language? A coding boot camp might be the answer. Make it known that growth isn’t just a company objective; it’s a personal mandate for each team member.

    Step 9: Scale, evaluate and iterate

    Your team is in place, and the ball is rolling. This is not the time to kick back and relax; it’s the time to scale, evaluate and iterate. Keep an eye on your performance metrics, and never let complacency creep in.

    Evaluate your team’s work, assess your own role as a leader, and make necessary pivots. Perhaps you need to refine your marketing strategy, or maybe your product development needs a more agile framework. Be prepared to make real-time adjustments. The marketplace waits for no one, and certainly not for an entrepreneur too stubborn to adapt.

    There you have it — an expert-level, no-nonsense guide on transitioning from a one-man-show to a high-impact team. In the cutthroat world of entrepreneurship, standing still is moving backward. Remember, building a team doesn’t dilute your vision but amplifies it. You’re not losing control; you’re gaining traction. Now, go build that dream team, and let’s rocket that business to the stratosphere!

    Related: 9 Tips Guaranteed to Build a Winning Team

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    Chris Kille

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  • 5 Recession-Proof Businesses to Start in a Turbulent Economy | Entrepreneur

    5 Recession-Proof Businesses to Start in a Turbulent Economy | Entrepreneur

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    Opinions expressed by Entrepreneur contributors are their own.

    Economic downturns are no joke. Recession throws a massive cog in the proverbial wheels of several established entrepreneurs as well as new startup owners. A recent study by Startup Genome found that a staggering 74% of startups saw their revenues plummet since the pandemic. Even more grim is how many of these (16%) were forced to lay off 80% of their workforce.

    No wonder, then, that companies are afraid to raise capital, or even start a business at all. Experts are warning about an impending global recession, so companies are apprehensive about scaling, hiring new talent and retaining the ones they have.

    However, not all startups struggle in times of recession and economic downturns. Some startups may, in fact, thrive during economic crises. As someone who has been in the VC industry for over a decade, sold several companies and launched an accelerator that helped over 200 entrepreneurs, I have learned that there is a crucial difference between startups that survive and succeed in a recession and those that struggle and fail. That difference is in the business model itself.

    As the CEO of Builderall, an all-in-one solution supporting over 20,000 small businesses worldwide, I have a bird’s eye view of the best-performing business models. Where other startups flounder, startups in our ecosystem continue to pull in more customers. In fact, we do not experience an economic downturn at all.

    If you are wondering whether to start your business, scale your startup or cut back operations, read on for the five recession-proof businesses I recommend during turbulent times:

    Related: 10 Businesses to Start That Can Weather Any Economy

    1. Service-based businesses

    Any time you provide a skilled service to your customers, whether online or offline, it’s a service-based business. For instance, a bookkeeping/accounting service or a digital marketing agency both provide services that require special knowledge and expertise. These companies are really crushing it today — and for more than one reason:

    • Their startup costs are low. Entrepreneurs can get started with a lower initial investment and fewer subsequent capital infusions.

    • They can operate with a minimal workforce. Companies can go fully remote with the advantage of tapping into low-cost talent markets, or they can go hybrid.

    • Faster turnover and revenue generation. Receiving payments from new clients and generating cash flow happen much more quickly.

    • Recurring payments keep the money flowing in. Service-based companies can benefit from employing subscription or retainer models. This guarantees two things: repeat customers and a continuous revenue stream in exchange for ongoing services.

    Customers are effectively fronting the cost, which reduces the necessity for venture capital or working capital. Then, three years later, they have built up a solid customer base of recurring revenue customers who simply keep paying on a monthly basis, and the money from those payments becomes your operating expenses.

    2. Influencer marketing

    You really can’t go wrong with being an influencer. It won’t be a stretch to say that influencers are ruling the digital world right now. Look at what Khaby Lame, Zach King, Addison Rae and Charli D’Amelio have achieved. During my years in business, I have closely followed the rise of several popular influencers, and I have found two common threads among all of them:

    One, all successful influencers work in a particular space or in a specific niche in which they are experts and know what they are talking about. And two, they are pure content creators, and their content resonates with their audiences, helping them attract more followers.

    Once you amass a substantial following on social media platforms such as Instagram, YouTube or TikTok — that’s when the magic begins. You leverage your online presence to engage with your audience and promote products or services, effectively becoming brand advocates for the companies you work with.

    3. Brand ambassadorship

    Being a brand ambassador is a close off-shoot of the influencer business. A brand ambassador has always been a cornerstone of successful marketing for several companies. Back in the day, when social media wasn’t a thing, only A-list celebrities or professional athletes and musicians would get top dollar for their endorsements.

    Like influencers, brand ambassadors also excel in specific niches. They position themselves as thought leaders or experts, and the association with them brings credibility to the brands they are endorsing. While influencer relationships are typically one-off arrangements, brand ambassadors generally work with the same brand for years and provide a deeper level of exposure and education for their audiences.

    Related: Scared of a Recession? Follow These 5 Tips For a Recession-Proof Business

    4. Online educators

    With upskilling and side hustling turning into major buzzwords, I have seen so many people asking, “What else I could do?” on social media platforms like Reddit and Twitter. Those who get laid off want to increase their skill set and willingly pay hundreds or even thousands for continuing specialized education rather than returning to college or seeking an advanced university degree. This is the major reason why online educators are making a killing by selling their courses online.

    People are learning all sorts of skills on e-learning platforms today. For example:

    How to turn sketches into finished digital artwork

    How to compose music

    How to create effective marketing funnels

    How to write screenplays

    Online educators are just normal people who are good at what they do. Becoming an online educator requires just taking the knowledge that they have, putting it into a course and selling it. They craft an exhaustive course structure and deliver courses that cover an extensive range of subjects, from practical skills to creative arts and everything in between. Platforms with user-friendly e-learning tools are making this easier than ever.

    Marketing, business, entrepreneurship, creative arts, coding and personal development are always popular with learners.

    5. Unique products

    Selling a unique product can be a tough nut to crack. But when a company achieves this feat, it can consider itself practically recession-proof. There are startups in the market that are selling a one-of-a-kind product to a narrow, but interesting, subset of consumers. It could be T-shirts, stickers, plush toys or anything else.

    And with the online platforms available today, it is so simple to launch an online shop, spread awareness and begin building a customer base. Paid ads are something that big companies use as they scale. But when you’re a small company, you can get creative and use Instagram reels and TikToks to drive audiences to your product. Try to create a niche product as opposed to trying to sell basic T-shirts to everybody, which is very difficult. Do something that’s very targeted to a specific niche. For instance, you can come out with a whole line of T-shirts for people who love unicorns.

    Related: 3 Key Strategies That Helped My Business Grow During a Recession

    At Builderall, we have not seen businesses negatively affected by the recession; if anything, it has been a positive catalyst for entrepreneurs. According to this recent survey by Gusto, 56% of individuals launched a business due to concern over inflation. The World Economic Forum reports that women entrepreneurs increased to 47% in 2022 up from 27% in 2019.

    So, while it may seem scary to try to launch or scale a company in today’s economy, with the right business model, now is the perfect time — and the future is bright.

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    Pedro Sostre

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  • Entrepreneur Magazine: Finding Motivation In The Face of Setbacks | Entrepreneur

    Entrepreneur Magazine: Finding Motivation In The Face of Setbacks | Entrepreneur

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    You’re trying to get somewhere. But you’re not there yet.

    That is frustrating. And worse, it’s embarrassing. You’ve worked hard. You’ve traveled far. And you think: I should be there by now — so why am I not?

    I feel this too, and I’ve concluded that it isn’t just about anxiety or impatience. It’s about something more fundamental: This is what happens when we are on a path, and what’s ahead is unseeable.

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    Jason Feifer

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  • What a Comprehensive User Experience Design Process Looks Like | Entrepreneur

    What a Comprehensive User Experience Design Process Looks Like | Entrepreneur

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    Opinions expressed by Entrepreneur contributors are their own.

    Forward-thinking companies are embracing user experience (UX), but it can be challenging to understand what aspects to prioritize. The lure of a quick fix for usability issues is compelling. However, it’s essential to tailor UX to your budget and needs while avoiding shortcuts in the discovery and design process. A comprehensive UX process will yield a higher return on investment for your business and its users.

    Understanding the problem

    The first phase in UX is identifying the problem to be solved. Does the issue align with what stakeholders and users perceive as problems or potential areas of improvement? The UX strategy of adopting a beginner’s mindset leads to questions others may avoid or where biases might exist, bringing a fresh viewpoint to the problem space.

    Through research and competitive analysis, UX researchers dive in to rapidly become mini-experts in a business domain. Once the UX team understands the problem, they balance user and stakeholder priorities to determine the project’s scope. Stakeholders can help determine which users to interview and observe to begin mapping user journeys and workflows.

    Related: 5 Tips for Creating Innovative UX Design

    Observing users

    Surveys and focus groups offer broad insight, but observing a single user in their natural work environment lets UX researchers discover the mental model and vocabulary used for workflows.

    Users are asked to think out loud while they perform their job. UX researchers are interested in everyday tasks as well as less common, but critical tasks. They want to know:

    • What tools and artifacts does a user need to do their job?

    • Are there other people or systems that the user interacts with?

    • What happens to their work product after they complete a task?

    This approach uncovers the user’s pain points. Researchers seek common pain points across multiple observations to prioritize which elements of the system to design first.

    Creating personas

    Next, researchers may create a persona based on the users they observed. Personas help to focus design and generate empathy for users. Some questions to consider when writing a persona are:

    • Is the user’s physical environment noisy, crowded or busy?

    • What limitations might the user have such as dexterity, vision or hearing?

    • Is the user a novice or an expert?

    • What are the user’s goals?

    Related: How Prioritizing UX Design Can Fuel Long-Term Growth in the Next Decade

    Sketching and prototyping

    Armed with insights about who will use the proposed system, their most common workflows and their pain points, it’s time to start sketching. The goal at this point is to create something testable for users. By walking the persona through each user scenario, designers ensure that each task the user needs to perform is supported.

    An initial prototype doesn’t need to be high-tech or high-fidelity. The quicker designs can be presented to users, the faster they can be tested. Paper mockups or wireframes can indicate whether the ideas are clear, and users may be more open to offering criticism if the prototype is hand-drawn or less polished.

    Assessing designs

    A first design includes the UX team’s best ideas, but the design will be refined through testing with users. This is an opportunity to clarify how the system will be used by the people who will actually use it. During assessments, it’s crucial to emphasize that the design is being assessed, not the user. Users are often willing to help evaluate designs when they understand their feedback will be used to create a better product for them.

    Collaborating with the development team

    After the design has been tested and refined, UX designers are ready to collaborate with a development team to build the system. The final mockups or prototypes are usually of higher fidelity and guide the developers on how the system should look and behave. Project managers collaborate with the UX team to develop an overall system roadmap. The UX team provides ongoing support to answer questions. Post-launch, the UX team should conduct periodic user testing to meet evolving markets or user needs.

    Embracing a comprehensive UX process significantly enhances a project’s likelihood of success. This approach enables companies to avoid disappointment and wasted resources from a design that did not meet users’ requirements. Investing in a complete UX cycle is not just beneficial for users; it’s also a smart business strategy.

    Related: Improve Your Conversion Rate and Increase Revenue With These User Experience Design Essentials

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    Amandeep Singh

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  • The Ridiculously Easy Guide to Internal Customer Service Training | Entrepreneur

    The Ridiculously Easy Guide to Internal Customer Service Training | Entrepreneur

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    Opinions expressed by Entrepreneur contributors are their own.

    Are you gearing up to launch an internal customer service initiative? Well, you’ve come to the right place. I’m happy to equip you with insights that can catapult your initiative into success if you choose to do it on a DIY basis.

    Before we dive into the details, let’s take a breather and understand the similarities and differences between internal and external customer service. While their essence should be the same, their surface manifestations differ.

    Both types of customer service, at their heart, have the same goal: to create and sustain comfort, positive feelings, and, of course, results. However, there are a few notable places where the way you provide service should diverge.

    Related: 8 Initiatives to Make Your Customers Loyal Advocates

    Here are some differences between internal customer service and external customer service (when they’re done right):

    • Jargon and shared language: Every industry, as well as almost every company, has its own set of terminologies, a sort of coded language that outsiders (at least if they’re not also in your industry) might find hard to decipher. With your internal customers — your colleagues in different departments or your own — you can use this jargon and language shortcuts freely, confident in their understanding and without fear of alienating them with phrases, terms, and abbreviations that may be foreign to them.
    • Level of formality: With internal customers (colleagues), you are free to adopt a casual tone, skipping the formalities you would use with someone who is outside of your company. In fact, the formalities essential for external customers may be unnecessary (or even sound a little silly) when you’re interacting with colleagues.
    • Transparency with company information: This one is obvious. You must protect your company’s private matters when working with external customers. With an internal customer, such data may be essential, or at least helpful, in completing their work.
    • The amount of abuse you should be willing to take: Okay, this is a big one and not a very pleasant one to ponder. When working with an external customer, if they are rude, they may be a rude person all the time, or they may be “just” venting this one time and will return to being themselves the next time you encounter them. Either way, because external customers pay for our company’s success, you may need to put up with it. With an internal customer, if they behave badly, you may want to call them on it or even alert a superior, particularly if you have clear internal (company) behavioral guidelines. Of course, in some company cultures, this may be a career suicide move, so you should still proceed with caution.

    Related: 5 Shocking Customer Service Mistakes You’re Making Every Day (And How to Fix Them Right Now)

    Armed with this understanding, let’s dig into the bedrock principles of internal customer service. Here are eight essentials to build into your internal customer service training — and, if all goes well, your internal customer service culture.

    1. Every service interaction unfolds in three stages: the warm welcome, service or product delivery and fond farewell. Far too often, we ignore stages one and three and focus all our effort on the middle one, what we consider the actual work. But the pleasantries at the beginning and the end of any customer service interaction are key, considering how human memory emphasizes beginnings and endings in how it later reviews an event.
    2. Mental reframing can be a game-changer. Start viewing tasks in your inbox as requests from valued customers instead of just “those folks in the other department.” — You’ll observe a boost in your own efficiency and enthusiasm.
    3. As with external customers, internal customers desire recognition. They want their colleagues to see them, not just think of someone who fills up their inbox.
    4. Address both the spoken and unspoken needs and desires of your co-workers. When they communicate with you, listen for the undertones that can give you clues to their emotional (and practical) desires, even if they’ve never verbalized them to you.
    5. Emphasize the principle of lateral service: stepping out of your comfort zone to help colleagues during staff shortages. This fosters a more resilient company culture.
    6. Respect should be a given. Bullying, regardless of its source, should be nipped in the bud. (Whether this is realistic depends on your company culture, level within your company, and other internal factors.)
    7. Consideration (kindness, really) should be at the base of everything we do.
    8. Language is potent. Steer clear of phrases that belittle or devalue your colleagues (“Like I told you previously,” “You’re not my only priority, you know,” and so forth.) And remember, “please” and “thank you” pack a positive, if quiet, punch. Use them liberally.

    Related: 4 Investments Brands Should Make to Upgrade Their Customer Service

    What format should be used for internal customer service training?

    When it comes to internal customer service training, there are a few formats to consider. One option is customer service eLearning-based training, which offers the advantage of being asynchronous (can be used at any time and at any pace) and long-lasting (has value in the future as well as present). With eLearning, employees can access the training material at their own pace regardless of their shift or schedule, and it can be used by future employees and as a central part of your future onboarding process.

    Live customer service training is another effective route to take, whether conducted in person or through remote video. This allows for real-time interaction and immediate feedback. To enhance the effectiveness of live training, it can be beneficial to supplement it with physical collateral, such as handouts or reference materials. These aids can help reinforce the essential points and ensure that everyone is on the same page — literally!

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    Micah Solomon

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  • 3 Essential Factors Your Startup Should Consider If You Want It to Bloom | Entrepreneur

    3 Essential Factors Your Startup Should Consider If You Want It to Bloom | Entrepreneur

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    Opinions expressed by Entrepreneur contributors are their own.

    Venture capital funding has always been a complex and highly competitive landscape where startups and established businesses alike vie fiercely for investor attention and financial backing. And in recent times, this state of things has only grown progressively worse.

    Over the past two years, global markets have observed a continuous fall in venture capital funding. In Q1 2023, the figure reached $76 billion, less than half the amount recorded in 2022 ($162 billion). Funding into the fintech sector amounted to just $23 billion in the first half of 2023. At the same time, the number of funding rounds dropped by 64% compared to the same period in 2022.

    The investor sentiment is waning, and to survive in this grim climate, startups must be capable of rapidly adapting to changes and possess a sensible MVP capable of attracting investors and customers alike. These are the foundation upon which a business is built and from which it can improve based on evolving customer needs and emerging market trends.

    Let’s look at how companies can adapt their operations in a challenging environment where investors are becoming more cautious and their funding scarcer.

    Adapt your startup to the realities of the BANI world

    Before we get into the detailed recommendations on what parts of your business you should focus on when seeking investment opportunities, I believe it important to point your attention to a more overarching matter. Namely, the modern-day business landscape in which companies find themselves operating.

    In today’s rapidly changing global environment, any startup founder must know the BANI world and understand its nuances and rules. BANI stands for “Brittle, Anxious, Non-Linear, and Incomprehensible,” representing the key characteristics of the current business environment.

    Today’s world is prone to sudden disruptions and shocks that can significantly impact businesses and their activities. As such, leaders must learn to anticipate potential risks and build resilience within their organizations. To maintain an efficient business in times of uncertainty and volatility, leaders need to monitor market dynamics constantly, understand the ongoing trends and adapt their strategies accordingly.

    In short, understanding the modern realities is essential for heads of startups to successfully steer their companies towards growth and secure investments from stakeholders who value adaptability and foresight. It is particularly important for startup founders, as such businesses already tend to start their journeys in a financially vulnerable position. Failing to acknowledge the aspects of the BANI world may leave them ill-prepared to face disruptions, competition, market shifts and other threats.

    By taking care to keep an eye on these complexities, on the other hand, founders can make more informed decisions and adjust their business strategies accordingly. This can build their organizations more resiliently and attract investments by showcasing their ability to thrive in a rapidly changing and challenging environment.

    Now that we have cleared up the BANI world issue, let’s take a closer look at the actions that startup founders can take when fundraising. Based on personal experience, I recommend focusing on three main aspects of your business when you’re planning to engage with promising investors.

    Related: How to Adapt in a Rapidly Changing Economy

    1. Grow your revenue rather than your turnover

    When the market is going through a boom, investors tend to look at how rapidly a company can grow and capture its share in the market. But in today’s business landscape, it is more important for them to understand that a company can endure and survive in harsh circumstances. And survive for a long time, at that. If you have the capacity to be profitable on top of that, then all the better for you.

    Make sure to demonstrate this fact openly and proudly, as it would make a lot of sense for investors to invest in you to drive this success further and get their share of the profit from it.

    Related: We Can’t Rely on Venture Capital Funding to Build a Just and Thriving Entrepreneurial Economy. Here’s What to Do Instead

    2. Pay attention to your company’s data and analytics

    Showcase figures that would indicate to investors that your business is viable and that they can invest in it safely. In my own company, for example, we demonstrated how much we managed to reduce costs while boosting revenue simultaneously. Things like that give investors the information that you can operate effectively, which worked to great effect for us.

    3. Show that you can make responsible financial decisions

    If investors are to put their money into your startup, it would put their minds at ease to know that you can invest said money competently and precisely. More specifically, under the current market conditions, pouring funds into things that yield a quick result is necessary. You are required to be able to adapt to market trends and make quick decisions that provide quantifiable outcomes.

    Fundamentally, the most important thing is to demonstrate a set of skills and tools that would indicate to investors that your business can maintain itself regardless of the outside conditions in a market filled with uncertainty.

    Related: How to Think Outside the Box and Craft a Values-Aligned Investment Offering

    Data-driven decisions give businesses the power to grow

    By staying updated on industry developments, customer preferences and the competitive landscape, businesses can identify opportunities and adapt their strategies to stay ahead of the curve. This requires strategic thinking, flexible problem-solving skills and a willingness to take calculated risks. It falls to the company leadership to monitor performance and make informed decisions that would enable their business to maintain a level of success attractive to investors.

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    Greg Waisman

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  • Why Saudi Arabia is The Goldmine for Global Entrepreneurs | Entrepreneur

    Why Saudi Arabia is The Goldmine for Global Entrepreneurs | Entrepreneur

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    Opinions expressed by Entrepreneur contributors are their own.

    Nestled in the heart of the Middle East, Saudi Arabia has long been synonymous with oil wealth. Yet, as we move deeper into the 21st century, it is stepping into a new light, presenting vast and varied opportunities for entrepreneurs.

    1. Beyond oil: A diversified economic landscape

    Saudi Arabia’s Vision 2030 is a clarion call for diversification. The nation is proactively steering away from its oil-dependent past, investing heavily in entertainment, tourism, technology and sports sectors. ‘NEOM,’ the futuristic city project, is a beacon of this transformative journey.

    For budding entrepreneurs, this evolution translates into a broader spectrum of business avenues, a more varied market and an ever-evolving consumer base.

    Prince Mohammed bin Salman Al Saud once asserted, “Vision 2030 is all about the future. It’s about more life, it’s about more energy, and it’s about more excitement.” And in this unfolding future, entrepreneurs are the vanguard.

    Related: A Look At How Saudi Arabia’s Vision 2030 Has Spurred Entrepreneurship In The Kingdom

    2. The growing consumer spending of millennials

    Saudi Arabia is young. Over half its population is under 30, making it a vibrant, tech-savvy, digitally connected consumer market. This burgeoning demographic is increasingly global in its outlook and consumption patterns. For businesses, this translates into a potent market hungry for innovative products, new-age services and novel experiences.

    Related: Attracting and Retaining an Engaged Millennial Workforce

    3. Global crossroads and a growing business ecosystem

    At the juncture of Asia, Europe and Africa, Saudi Arabia is more than just a regional hub; it’s a global convergence point. Entrepreneurs setting up in Saudi enjoy easy access to multiple continents, offering an ideal launchpad for truly global aspirations.

    It’s not just about the market; it’s about the support. Recognizing the value of entrepreneurial ventures, the Saudi government has initiated numerous incentives, grants and funding opportunities. With tech hubs, incubators and a growing investment community, Saudi Arabia genuinely welcomes innovators with open arms.

    Related: The Middle East is Emerging as a Serious Startup Hotspot — Here’s What Entrepreneurs Worldwide Can Learn

    4. The tourism and cultural renaissance

    Gone are the days when Mecca was the only draw for international visitors. With its recent foray into the tourism sector and the rejuvenation of cultural festivals, Saudi Arabia is quickly becoming a hotspot for global travelers. This shift provides many opportunities for businesses in the hospitality, travel, arts and culture sectors.

    5. Sustainability coupled with training a young workforce

    Saudi’s diversification drive has led to a growing demand for a skilled workforce. While the demand is vast, the supply, in many sectors, lags. This mismatch offers a golden opportunity for ed-tech platforms, vocational training institutes and professional upskilling courses.

    Saudi Arabia’s move towards sustainable energy and its commitment to environmental initiatives is another realm burgeoning with potential. From clean energy solutions to sustainable agriculture, Saudi Arabia is on the lookout for green ventures that align with its Vision 2030 goals.

    Related: How Entrepreneurs Can Keep Up With Industry Demands While Nurturing a Skilled Workforce

    6. Embracing youth and empowering women

    Saudi Arabia’s demographic is a unique blend of tradition and modernity. With nearly 35 million residents, Saudi Arabia boasts a median age of just 27, making it one of the youngest populations globally. This youthful dynamism naturally begets innovation, a fact borne out by the soaring numbers of Saudi entrepreneurs. Recent years have witnessed a startup explosion, with young Saudis taking the entrepreneurial plunge, driven by passion and the promise of a supportive ecosystem.

    But perhaps the most heartening aspect of this entrepreneurial surge is the rise of female founders and business leaders. Historically, the Saudi business realm was a male-dominated landscape. However, the winds of change, heralded by policies promoting women’s education and empowerment, have reshaped the scene. Today, women are not just participating in the business sector but pioneering it. They’re establishing startups, helming corporations and breaking barriers in previously deemed off-limits fields. According to a report by the Global Entrepreneurship Monitor, nearly 35% of all Saudi startups are now led by women, a testament to their tenacity and the evolving societal norms.

    This dual wave of youthful enthusiasm and female empowerment is more than just a demographic trend; it’s the heartbeat of the new Saudi Arabia. As young entrepreneurs bring fresh ideas and perspectives, female founders infuse the ecosystem with diverse insights and resilience. Together, they represent Saudi’s progressive future, one where dreams are not bound by age or gender.

    Saudi Arabia’s metamorphosis is a tale of vision, ambition and the future. For entrepreneurs, this narrative presents a chance to tap into a new market and be part of a historical transformation.

    By aligning their aspirations with Saudi Arabia’s vision, entrepreneurs can co-create a future where innovation thrives, businesses flourish and dreams take flight. The Saudi horizon is vast, and it’s gleaming with golden opportunities for the discerning entrepreneur.

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    Henri Al Helaly

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  • 5 Reasons You Need a Business Coach in This Economy | Entrepreneur

    5 Reasons You Need a Business Coach in This Economy | Entrepreneur

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    Opinions expressed by Entrepreneur contributors are their own.

    When the question of business coaching comes to mind, the image of a struggling entrepreneur seeking a last-ditch solution could be what flashes into your mind — if you are not aware of the value or necessity of having a coach.

    So, let’s set the record straight: This notion is a far cry from reality, especially in this new business landscape we find ourselves in. Here are five reasons all entrepreneurs need a business coach in today’s economy.

    Reason 1: We all need help

    Consider this — elite athletes always have coaches. This is non-negotiable. Now, shouldn’t the same principle hold true for business professionals? It’s time to recognize that a business coach isn’t just a lifeline for a floundering business, but a necessary and strategic asset for all business people who care about scaling and reaching their full potential.

    Think of it this way: Every top-tier athlete, from Olympians to school players, relies on coaching to elevate their game. Why, then, should this winning formula not extend to the world of business? A business coach isn’t a sign of weakness; it’s a testament to your commitment to excel. It speaks volumes about your dedication.

    Reason 2: We all have knowledge gaps

    One of the invaluable contributions a business coach brings to the table is their expertise in spotting knowledge gaps. It’s easy to become caught up in day-to-day operations, missing crucial opportunities to grow. Sometimes it’s hard to see situations clearly in the chaos of running a business. A seasoned coach acts as a perceptive guide, pinpointing areas where you are missing out on sales, growth and other key elements to maximizing what is going on in all areas of your business. Consider them your trusty navigational compass in the sea of information, shiny objects and competition.

    Reason 3: Goals need to be transformed into reality

    Setting goals is one thing; bringing them to life is an entirely different ball game. Here’s where a business coach shines. They don’t just help you define objectives — they map out the pathway to achieving them. With a coach by your side, your goals cease to be abstract. They become achievable milestones backed up by a strategic and actionable plan.

    Reason 4: An outside point of view breeds self-awareness and good leadership

    The cornerstone of leadership is founded on self-awareness. A business coach isn’t just a mentor; they’re a mirror reflecting your strengths and areas for growth. They grow your capacity and help you get clarity on your actions, decisions and interactions. Through this transformative process, you emerge not just as a business professional, but as a leader, leading your team — or even just yourself if you are a solopreneur — with wisdom and compassion.

    Reason 5: We need to maintain a willingness to learn

    Success doesn’t hinge solely on self-assuredness and confidence, but rather on embracing the fact that there’s always more to learn. Entrepreneurs who recognize that they don’t hold all the answers, keep learning and evolving and have a good chance of fulfilling their potential and purpose. This openness to continually learn and develop fuels excellence — the acknowledgment of gaps in knowledge fuels the drive to close them. A coach helps the business owner to be aware that there is always a way up and that plateauing is not an option.

    Various ways business coaching is delivered

    Now that we’ve debunked the myth of coaching as a refuge for failing businesses, let’s delve into different ways in which business coaching is offered. From one-on-one mentorship to specialized group sessions, the offers are diverse. Many coaches offer a unique approach, tailored to your requirements. Whether it’s getting a plan in place for marketing to maximize revenue and profits, or heightened leadership, there is a coaching style for every entrepreneur or small business.

    Business coaching isn’t just about strategy; it’s also about mindset. Mindset is the absolute key and foundation for any strategy to work. It’s about recognizing that investing in yourself and your business is the number one thing that will yield ROI and help you to be a high performer. The coaching and mentorship journey is about teamwork and is a transformative partnership that propels you toward your greatest success.

    For those business owners who want to reach their maximum potential and business excellence, hiring a business coach is indispensable. After all, every peak performer — from the arena to the boardroom — is backed by the guidance of a coach. And not hiring a coach is costing you time and momentum.

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    Jeanne Omlor

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  • How to Design and Produce Products from Scratch | Entrepreneur

    How to Design and Produce Products from Scratch | Entrepreneur

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    Opinions expressed by Entrepreneur contributors are their own.

    Creating a successful product from scratch is the stuff that entrepreneurial dreams are made of, but it’s a journey that’s equal parts challenging and thrilling. From identifying a consumer pain point to delivering a refined product onto the market, the process requires dedication, innovation and meticulous planning.

    I’ve traveled this road time and time again with my cat brand tuft + paw, creating everything from an award-winning litter box to a mid-century modern cat tree. In this article, I’ll take you through the steps I’ve followed to bring our designs to life and build a thriving ecommerce company.

    Related: A 3-Step Process for Creating Great Products Every Time

    1. Identify a need/problem

    The foundation of any successful product lies in addressing a specific customer need or solving a problem. Start by conducting market research in your industry to identify gaps and common issues with existing products or services. Talk to potential customers, conduct surveys, and analyze industry trends to understand the pain points of your target audience. The more clearly you define the problem, the more focused your product development process will be.

    2. Conceptualize your idea

    Once you’ve identified a need, it’s time to unleash your creativity. Brainstorm designs, materials and features that can fulfill the identified need effectively. Don’t be shy at this stage — innovation always looks crazy at first. If an idea is good, it will survive to the later stages of the development process. Pay special attention to the uniqueness of your product and how it will stand out from the competition.

    Once you’ve settled on a concept, find an industrial designer to create mockups that visualize your ideas and transform them into tangible designs. I’ve had success using online platforms like Upwork which provide access to a pool of talented industrial designers. It often takes time to find the right person, but once you do, they’ll be able to help you refine the design and meet your aesthetic and functional requirements.

    3. Validate your product concept

    Before diving deep into the production process, it’s absolutely essential to validate your product concept. As long as your product doesn’t involve some sacred intellectual property, share your idea with potential customers. Consider offering pre-sales, even if it’s to friends and family, as this can serve as a strong indicator of demand. If there is a positive response and interest from potential customers, you can proceed with confidence. It’s understandable that some entrepreneurs may be hesitant to reveal their ideas, but receiving feedback and gauging interest early on can save you valuable time and resources in the long run.

    Related: How to Take Your Product From Idea to Reality

    4. Find a manufacturer

    After validating your concept, the next critical step in the production journey is finding the right manufacturer. Websites like Alibaba offer a vast array of manufacturers, but you’ll have to exercise due diligence to separate the strong contenders from the weak. Start by tracking down manufacturers who make a product similar to your design, then narrow the field based on their track records, customer reviews and pricing.

    Order samples from potential manufacturers to verify the quality of their products. Evaluate the samples carefully, considering aspects like materials, workmanship and functionality. Once you have chosen a suitable manufacturer, clearly communicate your modifications and specifications to customize the product according to your vision.

    5. Exercise patience and expect multiple iterations

    Producing a high-quality product always requires several iterations and adjustments. Be patient throughout the process because, barring a miracle, it almost always takes considerable time to achieve the desired outcome. Expect at least three months for each new product iteration, from refining the design to receiving the final sample. Maintain open communication with the manufacturer, sharing photos, drawings and detailed explanations of the desired changes. Clear communication will help minimize misunderstandings and ensure the manufacturer accurately implements your vision.

    6. Put your product into the wild and solicit feedback

    Before finalizing the product for mass production, put it out into the wild to gather valuable feedback from potential customers. Offer prototypes or limited editions to selected individuals or groups, and encourage them to provide honest feedback. This step allows you to gain insights into how customers perceive your product, identify any shortcomings and make final improvements. Even the most thoroughly conceived product may have unexpected flaws or specific use cases where it doesn’t perform as expected. There’s simply no substitute for in situ testing.

    Related: 3 Simple Product Development Lessons All Entrepreneurs Should Remember

    I know from experience that designing and producing products from scratch can be an incredibly rewarding experience as an entrepreneur. It’s no cakewalk, but if you follow the general steps outlined here, you’ll be well-equipped to take any product from dream to reality.

    It all starts with identifying a need, but every step along the way requires your utmost attention — from conceptualizing the idea to finding the right manufacturer to gathering feedback from prototype testers. As long as the pain point you’ve identified is true and solvable, your persistence will pay off. Stay dedicated to your goal, be open to learning, and embrace the evolution of your product as it takes shape.

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    Jackson Cunningham

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